TWU to represent milk vendors in South Australia

TWU granted power to bargain collectively on behalf of milk vendors in contract negotiations

The Transport Workers Union (TWU) will be allowed to bargain collectively on behalf of about 125 South Australian milk vendors in contract negotiations.

The Australian Competition and Consumer Commission (ACCC) has granted the power to the TWU's South Australia and Northern Territory branch, with the ruling applying to dairy processors, National Foods and Parmalat.

The ACCC says the negotiations were likely to create public benefit and transaction cost savings. It was also determined the proposed discussions would not limit public detriment, such as collective boycott activity.

"The ACCC considers that there are several features of the proposed arrangements that limit any public detriment. In particular the proposed arrangements are voluntary and do not involve collective boycott activity - that is agreements with parties to, for example, refuse to deal with another party," ACCC Chairman Graeme Samuel says.

The decision for the TWU to commence negotiations comes almost five years after the Milk Vendors Association of SA (MVASA) engaged in similar bargaining which was set to last until 2010.